The city’s transformation from rubber and steel to software and information continues.
Sandblasting crews will begin work today on a $35-million redevelopment to turn six Breithaupt Block industrial buildings into 175,000 square feet of office space for the creative information technology age.
The buildings that used to manufacture rubber and automotive parts are on Breithaupt Street between King and Waterloo streets in the old industrial heart of Kitchener.
The developers, Toronto-based Perimeter Development Corp. and its partner Allied Properties REIT, threw a “block party” on Thursday to officially launch the redevelopment.
“We will be going full tilt right away. We have a crew of sandblasters ready to start at 7 a.m.,” said Craig Beattie, one of Perimeter’s partners, along with David Gibson, the firm’s founder.
The original building dates back to 1902, when the Merchants Rubber Co. was founded to produce rubber for footwear. Over the years, more buildings were added to the complex.
They eventually began producing automotive parts, first for Uniroyal and later for Collins & Aitkman Corp. But the workforce dwindled, and the buildings were sold to International Automotive Components Group, which shut down the manufacturing in 2008.
Now, the developers hope to attract high-tech business tenants, much like the Tannery building at Charles and Victoria streets, where Google and other companies now occupy offices.
Joan Lazarski, a neighbouring resident who was at the launch, said she is happy the Breithaupt buildings are being preserved and will be occupied by businesses paying property taxes. “I see this as a complementary anchor to the Tannery building and as a nice use of heritage buildings,” she said.
Beattie says his company is excited about playing a role in “the continued rejuvenation of downtown Kitchener.”
The developers intend to preserve the old brick and exterior heritage features. The offices will have an “industrial chic” look with high ceilings, timber trusses and hardwood floors, along with modern rooms for relaxation and meetings.
High-tech tenants want “cool spaces and an interesting work environment,” Beattie said. “They view their real estate decisions as integral to their culture and to attracting and retaining talent.”
Beattie and his partner were involved with the First Gulf development that converted the former Waterloo Town Square complex in Waterloo. They also are developers for eight buildings in the Galt core of Cambridge. “We view this as our showcase entry project for downtown Kitchener,” Beattie said.
The first phase of the redevelopment should be ready to house its first tenants by the end of this year. The other phases will follow over the next two years.
There is “a growing momentum” of interest in this type of office space, Beattie said.
The developers will include parking for 350 cars, underground and across the street. But the site is also near a rail transit node that can bring people in.
Kitchener Mayor Carl Zehr said he is excited the developers have chosen to invest in the site. “We are on the cusp of something great,” he said.
by Rose Simone, The Record
http://www.therecord.com/news/business/article/538486--breithaupt-block-redevelopment-begins